Module content

This module is an introduction to the basic principles, conventions, analytical methods and tools needed for successful investment and finance decision making in real estate. The module focuses on the key aspects of the individual properties and deals. It is designed to provide students with tools, methods and critical information to be able to assess real estate finance risks and opportunities. The module reinforces knowledge gained in the Introduction to Property Economics (1020DL) module and develops and extends that knowledge with a specific focus on real estate.

The module contains an introduction to management accounts; the preparation of cash flow; compounding and discounting; cash flow forecasting; assessment of key investment ratios and measures; introduction to various investment asset classes, including bonds, shares, real estate, REITs, and commodities. The module allows students to understand risk appetite and compare/contrast various asset classes and their returns. The module also introduces financial accounting systems and standards

Module outcomes

To achieve credit for this module, students must be able to:

Understand and apply basic financial principles;

Understand the industry’s most commonly used financial instruments;

Appreciate various capital sources;

Understand the investment spectrum;

Appreciate financial accounting systems and standards.

Assessment

Assessment

Description

Weighting

Coursework

1 x Literature Review

50%

Coursework

1 x Online-test

50%

Key texts

Students should be familiar with the content of at least one of the following: